CUB Fighting Global Warming on Numerous Fronts

Ten years ago, global warming was a topic that came up for discussion only rarely, and in a controversial way. Today the topic pervades news reports and has affected many aspects of the work that CUB does on behalf of utility customers. Yes, we advocate for clean energy because we want to mitigate the damage to our rapidly changing climate systems, but also, CUB works on global warming issues in various ways so that customers will not be paying the price for bad resource choices on their utility bills.

We filed testimony in a case about 10 days ago, a least cost plan for PacifiCorp, in which we argued strongly against the inclusion of any new pulverized coal in the resource plan: Because the plan is concerned with “least cost,” CUB is concerned with what the true cost of coal power will be, and because it involves a number of uncertain components (such as the future costs of carbon regulation on either state or national levels), we conclude that “we are not convinced that the true costs of a new pulverized coal plant have been included in the model.” We recommended that the Public Utility Commission not approve the PacifiCorp plan that included new pulverized coal as a part of its resource plan.

Meanwhile, back at the ranch, we are filing today a final round of comments in UM 1302 (as a part of a group that also includes NW Energy Coalition, Renewable Northwest Project, and Ecumenical Ministries of Oregon), which examines how the Commission should integrate the expectation of future carbon regulation into utility resource planning in general. “Planning for risk and uncertainty is a key objective of the Integrated Resource Planning (IRP) process, and a thorough analysis of the risk of future CO2 regulation should be an integral part of any utility’s planning. We are, therefore, very pleased with the high level of agreement from all parties in this Docket that a more rigorous analysis of carbon risks is acceptable and necessary…” We then go on to clarify points and disagree with some other parties’ changes or interpretation of the details. However, the basic consensus remains: Utilities need to include future carbon regulation as a factor in resource planning, the sooner the better.

Legislatively, we have of course been working for more than a year on the creation and passage of a Renewable Energy Standard that will reduce Oregon greenhouse gas emissions associated with electricity production. The RES did pass the 2007 Oregon Legislature and was signed into law by Governor Kulongoski. Our standard is among the most stringent in the country (so far), requiring 25% renewable energy by the year 2025. The rulemaking at the Public Utility Commission to implement this new law is beginning and CUB is involved in that, too.

Few people would have foreseen that global warming would arise as a major issue in utility customer advocacy a decade ago. Certainly, it was not a topic on many people’s agendas back in the late 1980s when the CUB Bear Facts Newsletter ran an article on it: “The summer of 1988 may come to be known as the ‘first greenhouse summer,’ as many fear this summer’s droughts are only the beginning of the environmental disasters global warming could set off. Electric energy production is intimately tied to this problem since electric utilities are the source of about a third of carbon dioxide emissions in the United States. Carbon dioxide is the biggest offender of the handful of ‘greenhouse gases.’” The article, by Clay Martin, went on to say, “Measures can be taken now to minimize future warming. The cheapest, fastest and safest of these measures is more efficient energy use… Though greater energy efficiency is the first step in reducing output of greenhouse gases, it won’t be enough. Conversion to less carbon-intensive fuels like natural gas will also be necessary.” We would add today that renewable sources that emit no greenhouse gases, such as wind, solar, geothermal and perhaps in the future wave power, are all gaining prominence.

However unlikely it was to hear a prime time discussion of global warming 15 or 20 years ago, it has since become quite common. Times change and the issue of global warming has not only become a mainstream political, environmental and economic issue, it has also become a major force in energy discussions and a priority issue for CUB: Protecting the planet by limiting emissions of greenhouse gases is the only way to protect customers from paying high carbon premiums on their utility bills in the coming decade.

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